b. Prepare an income state c. What is the balance in th d. What is the balance in th Complete this question Req B1 Inc Stmt Req A Record the events under an minus sign.) Effect Event
Q: A) Calculate the total Current Assets, Total Assets, Total Liabilities and Equity, Gross profit,…
A: A.
Q: /hen an accountant calculates different parts of a financial statement in terr fa percentage of the…
A: Solution: Vertical analysis is a method of analyzing the financial statements of a company. Under…
Q: Question 1: Prepare a pro forma income statement.
A: Let us start with proforma of Income statement keeping all the requirements in mind. expected sales…
Q: indicate whether the statement describes a multiple-step income statement or asingle-step income…
A:
Q: The expense recognition principle (“matching”) controlsa. Where on the income statement expenses…
A:
Q: "E" in EBT abbreviation means Select one: a. equity b. gross profit
A: SOLUTION- Operational profit, also known as operating profit or operating income, is a company's…
Q: d. Unearned Income 2. Which of the following is an element of a statement of comprehensive income?…
A: (1.) Revenues is an element of a statement of comprehensive income. Therefore, the option (b)…
Q: 1-Accaunting a) income statmest to Statemet of aunes epuity b) balance sheet to stakment of anos…
A: “Since you have asked multiple questions, we will solve the first question for you. If you want any…
Q: Please indicate whether each entry is accounted for in profit or loss (P/L), other comprehensive…
A: Lets understand the basics. Profit or loss account is statement which shows revenue and expense…
Q: Which of the following describes how assets are listed onthe balance sheet?a. In alphabetical…
A: Classified Balance sheet: It includes more detailed balance sheet by itemizing a company’s different…
Q: 4.1 Identify whether each of the following transactions, which are related to revenue recognition,…
A: Accrual income refers to that income that has been earned but not yet received. Deferral income…
Q: Write short notes on the following accounting principles with proper example. A) cost principle?…
A: Hello. Since your question has multiple sub-parts, we will solve the first three sub-parts for you.…
Q: Explain the income & expenditure and Receipts & payment? Draw the format with example? What is the…
A: Income and Expenditure Account: Its a summary of all incomes and expenditures of current accounting…
Q: Net income appears on which financial statement(s)?a. Balance sheetb. Income statementc. Statement…
A: Financial Statement: A financial statement is the complete record of financial transactions that…
Q: a)Prepare income statement b) Balancesheet
A: Income statement of the business shows all income and expenses of business and Balance sheet shows…
Q: Net Income is calculated as follows: NI = NII – Burden - PL + SG-T Where, bank burden (non-interest…
A: Formula: NI = NII - Burden - PL - + SG - T NI stands for Net Income.
Q: The income statement is also known as the Select one: Oa. Net Income and Expense Statement Ob. Cash…
A: Financial statements: These refer to the formal or official records of the activities of the…
Q: Prepare the T-accounts for Retained Earnings and Income Summary please make sure the answer is…
A: Retained Accounts : Retained earnings refer to the portion of the earnings left with the company…
Q: ual items of the accounting equation. (Enter decreases to account bala Liabilities %3D Equity Land…
A: The accounting equation Total Assets = Total Liabilities + Shareholders equity For every…
Q: Required In a restated set of financial statements prepared in accordance with the current cost…
A: The first 3 subdivisions are answered for you. Please resubmit specifying the subdivisions you want…
Q: I nee the statement COGM, COGS and income statement
A: Income statement (IS) refers to the statement which states the income as well as loss which is…
Q: Calculate the EBIT. EBIT Calculate the net income. Net income
A: EBIT: Earnings before interest and taxes show the indication of the profitability for the…
Q: What is the EFFECT on accounting equation for the transaction "Commission Received OMR 100"? a.…
A: The answer for the multiple choice question and relevant explanation are presented hereunder :
Q: Why should inventories be included in (a) a statement offinancial position and (b) the computation…
A:
Q: 1.The income statement can be expressed as an equation: A.Income =Income-Expenses B.Revenue-Expenses…
A: Income Statement: A financial statement which shows profitability of company over a period of time…
Q: Required: a. Prepare a single-step income statement, b. Prepare a multiple-step income statement
A: An organization's financial outcomes for a specific time period are shown on the income statement.…
Q: The gain or loss on net monetary position is computed as a. The difference between the “net monetary…
A: In the period of inflation, an entity incurs purchasing power loss on holding of monetary assets and…
Q: are classified on the balance sheet as current or Select one: a. long-term. b. accrued. C. unearned.…
A: The balance shows the assets and liabilities of the business.
Q: calculate return on assest for this statement
A: Introduction:- Return on asset ratio indicates how efficiently a company can manage its assets to…
Q: income statement fo
A: Particulars Amount in $ Beginning Direct Materials 13500 Add Direct Material purchases 36000…
Q: Accounting equation is developed based on which of the following ? O a. Money measurement O b.…
A: The question is based on the concept of Accounting Theory.
Q: Which of the following formulas is correct when describing the relationship between income (1),…
A: Present Value = (Future cash Flows/Rate) Hence, Value is computed as discounting the cash flows…
Q: Prepare a multiple-step income statement. (Li either a negative sign preceding the number e.g.-
A: An income statement is a financial statement prepared at the end of the accounting year, to know the…
Q: te for the ending balance of ement of financial position if ess and were considered ab
A: Working Note 1: Prepare a production cost report for Assembly Department as follows:
Q: The following table summarizes the rules of debit and credit. For each of the items A through L,…
A: Accounts are classified as: Assets accounts Liabilities accounts Owner's capital accounts Expenses…
Q: 1. Explain in detail “The difference between GAAP and IFRS in respect of preparing Balance Sheet and…
A: “Since you have posted many question, we will solve one for you. To get the questions solved please…
Q: (Choose the correct alternati Column I Column II A Current Account Surplus i. Receipts Payments C…
A: The current account surplus is excess of receipt over the payments.
Q: On a multiple step income statement, the account interest expense would be located unde
A: Interest expense: Interest Expenses is the Return paid to the Debt holders of the company It is…
Q: In general terms, financial assets appear in the balancesheet at:a. Face value.b. Current value.c.…
A: Financial Assets : It doesn't have any physical form or physical worth, their value can be driven…
Q: Financial Accounting supplies the following information Select one: a. Both the Above b. Income…
A: The basic financial statements are Income statement Balance sheet Statement of stockholders equity…
Q: Compute the following: (a) Other income & expenses, (b) Financing Cost, (c) Income Tax, (d)…
A: 1.Discontinued operations = Income From operations - Income from Continuing operations. 2. Financing…
Step by step
Solved in 6 steps
- Effects of transactions on Accounting equation On Time Delivery Service had the following selected transactions during November: 1. Received cash from issuance of common stock, $75,000. 2. Paid rent for November, $5000. 3. Paid advertising expense, $3,000. 4. Received cash for providing delivery services, $34,500. 5. Borrowed $10,000 from Second National Bank to finance its operations. 6. Purchased a delivery van for cash, $25,000. 7. Paid interest on note from Second National Bank, $75. 8. Paid salaries and wages for November, $10,000. 9. Paid dividends, $2,000. Indicate the effect of each transaction on the accounting equation by listing the numbers identifying the transactions, (1) through (9), in a vertical column, and inserting at the right of each number the appropriate letter from he following list: a. Increase in an asset, decrease in another asset. h. Increase in an asset, increase in a liability. c. Increase in an asset, increase in stockholders’ equity. d. Decrease in an asset, decrease in a liability. e. Decrease in an asset, decrease in stockholders equity.EFFECTS OF TRANSACTIONS (BALANCE SHEET ACCOUNTS) Jon Wallace started a business. During the first month (March 20--), the following transactions occurred. Show the effect of each transaction on the accounting equation: Assets= Liabilities + Owners Equity. After each transaction, show the new account totals. (a) Invested cash in the business, 30,000. (b) Bought office equipment on account, 4,500. (c) Bought office equipment for cash, 1,600. (d) Paid cash on account to supplier in transaction (b), 2,000. EFFECTS OF TRANSACTIONS (REVENUE, EXPENSE, WITHDRAWALS) This exercise is an extension of Exercise 2-3B. Lets assume Jon Wallace completed the following additional transactions during March. Show the effect of each transaction on the basic elements of the expanded accounting equation: Assets = Liabilities + Owners Equity (Capital Drawing + Revenues Expenses). After transaction (k), report the totals for each element. Demonstrate that the accounting equation has remained in balance. (e) Performed services and received cash, 3,000. (f) Paid rent for March, 1,000. (g) Paid March phone bill, 68. (h) Jon Wallace withdrew cash for personal use, 800. (i) Performed services for clients on account, 900. (j) Paid wages to part-time employee, 500. (k) Received cash for services performed on account in transaction (i), 500.Financial statements Outlaw Realty, organized August 1. 20Y7, is owned and operated by Julie Baxter. How many errors can you find in the following financial statements for Outlaw Realty, prepared after its first month of operations? Assume that the cash balance on August 31, 20Y7, is $51,600 and that cash flows from operating activities is reported correctly.
- In March, T. Carter established Carter Delivery Service. The account headings are presented below. Transactions completed during the month of March follow. a. Carter deposited 25,000 in a bank account in the name of the business. b. Bought a used truck from Degroot Motors for 15,140, paying 5,140 in cash and placing the remainder on account. c. Bought equipment on account from Flemming Company, 3,450. d. Paid the rent for the month, 1,000, Ck. No. 3001. e. Sold services for cash for the first half of the month, 6,927. f. Bought supplies for cash, 301, Ck. No. 3002. g. Bought insurance for the truck for the year, 1,200, Ck. No. 3003. h. Received and paid the bill for utilities, 349, Ck. No. 3004. i. Received a bill for gas and oil for the truck, 218. j. Sold services on account, 3,603. k. Sold services for cash for the remainder of the month, 4,612. l. Paid wages to the employees, 3,958, Ck. Nos. 30053007. m. Carter withdrew cash for personal use, 1,250, Ck. No. 3008. Required 1. Record the transactions and the balance after each transaction 2. Total the left side of the accounting equation (left side of the equal sign), then total the right side of the accounting equation (right side of the equal sign). If the two totals are not equal, check the addition and subtraction. If you still cannot find the error, re-analyze each transaction.In March, T. Carter established Carter Delivery Service. The account headings are presented below. Transactions completed during the month of March follow. a. Carter deposited 25,000 in a bank account in the name of the business. b. Bought a used truck from Degroot Motors for 15,140, paying 5,140 in cash and placing the remainder on account. c. Bought equipment on account from Flemming Company, 3,450. d. Paid the rent for the month, 1,000, Ck. No. 3001 (Rent Expense). e. Sold services for cash for the first half of the month, 6,927 (Service Income). f. Bought supplies for cash, 301, Ck. No. 3002. g. Bought insurance for the truck for the year, 1,200, Ck. No. 3003. h. Received and paid the bill for utilities, 349, Ck. No. 3004 (Utilities Expense). i. Received a bill for gas and oil for the truck, 218 (Gas and Oil Expense). j. Sold services on account, 3,603 (Service Income). k. Sold services for cash for the remainder of the month, 4,612 (Service Income). l. Paid wages to the employees, 3,958, Ck. Nos. 30053007 (Wages Expense). m. Carter withdrew cash for personal use, 1,250, Ck. No. 3008. Required 1. In the equation, write the owners name above the terms Capital and Drawing. 2. Record the transactions and the balance after each transaction. Identify the account affected when the transaction involves revenues or expenses. 3. Write the account totals from the left side of the equals sign and add them. Write the account totals from the right side of the equals sign and add them. If the two totals are not equal, check the addition and subtraction. If you still cannot find the error, re-analyze each transaction.Brief Exercise 1-24 The Accounting Equation Financial information for three independent cases is as follows: The liabilities of Dent Company are $82,000, and its stockholders' equity is $120,000. What is the amount of Dents total assets? The total assets of Wayne Inc. are $55,000, and its stockholders' equity is $22,500. What is the amount of Waynes total liabilities? Gordon Companys total assets increased by $60,000 during the year, and its liabilities decreased by $35,000. Did Gordons stockholders' equity increase or decrease? By how much? Required: Determine the missing amount for each case.
- On March 1 of this year, B. Gervais established Gervais Catering Service. The account headings are presented below. Transactions completed during the month follow. a. Gervais deposited 25,000 in a bank account in the name of the business. b. Bought a truck from Kelly Motors for 26,329, paying 8,000 in cash and placing the balance on account, Ck. No. 500. c. Bought catering equipment on account from Luigis Equipment, 3,795. d. Paid the rent for the month, 1,255, Ck. No. 501. e. Bought insurance for the truck for one year, 400, Ck. No. 502. f. Sold catering services for cash for the first half of the month, 3,012. g. Bought supplies for cash, 185, Ck. No. 503. h. Sold catering services on account, 4,307. i. Received and paid the heating bill, 248, Ck. No. 504. j. Received a bill from GC Gas and Lube for gas and oil for the truck, 128. k. Sold catering services for cash for the remainder of the month, 2,649. l. Gervais withdrew cash for personal use, 1,550, Ck. No. 505. m. Paid the salary of the assistant, 1,150, Ck. No. 506. Required 1. Record the transactions and the balance after each transaction. 2. Total the left side of the accounting equation (left side of the equal sign), then total the right side of the accounting equation (right side of the equal sign). If the two totals are not equal, check the addition and subtraction. If you still cannot find the error, re-analyze each transaction.On March 1 of this year, B. Gervais established Gervais Catering Service. The account headings are presented below. Transactions completed during the month follow. a. Gervais deposited 25,000 in a bank account in the name of the business. b. Bought a truck from Kelly Motors for 26,329, paying 8,000 in cash and placing the balance on account, Ck. No. 500. c. Bought catering equipment on account from Luigis Equipment, 3,795. d. Paid the rent for the month, 1,255, Ck. No. 501 (Rent Expense). e. Bought insurance for the truck for one year, 400, Ck. No. 502. f. Sold catering services for cash for the first half of the month, 3,012 (Catering Income). g. Bought supplies for cash, 185, Ck. No. 503. h. Sold catering services on account, 4,307 (Catering Income). i. Received and paid the heating bill, 248, Ck. No. 504 (Utilities Expense). j. Received a bill from GC Gas and Lube for gas and oil for the truck, 128 (Gas and Oil Expense). k. Sold catering services for cash for the remainder of the month, 2,649 (Catering Income). l. Gervais withdrew cash for personal use, 1,550, Ck. No. 505. m. Paid the salary of the assistant, 1,150, Ck. No. 506 (Salary Expense). Required 1. In the equation, write the owners name above the terms Capital and Drawing. 2. Record the transactions and the balance after each transaction. Identify the account affected when the transaction involves revenues or expenses. 3. Write the account totals from the left side of the equals sign and add them. Write the account totals from the right side of the equals sign and add them. If the two totals are not equal, check the addition and subtraction. If you still cannot find the error, re-analyze each transaction.Transactions; financial statements 2. Net income: 10,850 On April 1, 20Y8, Maria Adams established Custom Realty. Maria completed the following transactions during the month of April: a. Opened a business bank account with a deposit of 24,000 in exchange for common stock. b. Paid rent on office and equipment for the month, 3,600. c. Paid automobile expenses for month, 1,350, and miscellaneous expenses, 600. d. Purchased supplies on account, 1,200. e. Earned sales commissions, receiving cash, 19,800. f. Paid creditor on account, 750. g. Paid office salaries, 2,500. h. Paid dividends, 3,500. i. Determined that the cost of supplies on hand was 300; therefore, the cost of supplies used was 900. Instructions 1. Indicate the effect of each transaction and the balances after each transaction, using the following tabular headings: 2. Prepare an income statement for April, a statement of stockholders equity for April, and a balance sheet as of April 30.
- The Accounting Equation Ginger Enterprises began the year with total assets of $500,000 and total liabilities of $250,000. Using this information and the accounting equation, answer each of the following independent questions. What was the amount of Gingers owners equity at the beginning of the year? If Gingers total assets increased by $100,000 and its total liabilities increased by $77,000 during the year, what was the amount of Gingers owners equity at the end of the year? If Gingers total liabilities increased by $33,000 and its owners equity decreased by $58,000 during the year, what was the amount of its total assets at the end of the year? If Gingers total assets doubled to $1,000,000 and its owners equity remained the same during the year, what was the amount of its total liabilities at the end of the year?Journal entries and trial balance On October 1, 20Y6, Jay Crowley established Affordable Realty, which completed the following transactions during the month: a. Jay Crowley transferred cash from a personal bank account to an account to be used for the business in exchange for common stock, 40,000. b. Paid rent on office and equipment for the month, 4,800. c. Purchased supplies on account, 2,150. d. Paid creditor on account, 1,100. e. Earned sales commissions, receiving cash, 18,750. f. Paid automobile expenses (including rental charge) for month, 1,580, and miscellaneous expenses, 800. g. Paid office salaries, 3,500. h. Determined that the cost of supplies used was 1,300. i. Paid dividends, 1,500. Instructions 1. Journalize entries for transactions (a) through (i), using the following account titles: Cash, Supplies, Accounts Payable, Common Stock, Dividends, Sales Commissions, Rent Expense, Office Salaries Expense, Automobile Expense, Supplies Expense, Miscellaneous Expense. Explanations may be omitted. 2. Prepare T accounts, using the account titles in (1). Post the journal entries to these accounts, placing the appropriate letter to the left of each amount to identify the transactions. Determine the account balances after all posting is complete. Accounts containing only a single entry do not need a balance. 3. Prepare an unadjusted trial balance as of October 31, 20Y6. 4. Determine the following: a. Amount of total revenue recorded in the ledger. b. Amount of total expenses recorded in the ledger. c. Amount of net income for October. 5. Determine the increase or decrease in retained earnings for October.Journal entries and trial balance On August 1, 20Y7, Rafael Masey established Planet Realty, which completed the following transactions during the month: a. Rafael Masey transferred cash from a personal bank account to an account to be used for the business in exchange for common stock, 17,500. b. Purchased supplies on account, 2,300. c. Earned sales commissions, receiving cash, 13,300. d. Paid rent on office and equipment for the month, 3,000. e. Paid creditor on account, 1,150. f. Paid dividends, 1,800. g. Paid automobile expenses (including rental charge) for month, 1,500, and miscellaneous expenses, 400. h. Paid office salaries, 2,800. i. Determined that the cost of supplies used was 1,050. Instructions 1. Journalize entries for transactions (a) through (i), using the following account titles: Cash, Supplies, Accounts Payable, Common Stock, Dividends, Sales Commissions, Rent Expense, Office Salaries Expense, Automobile Expense, Supplies Expense, Miscellaneous Expense. Journal entry explanations may be omitted. 2. Prepare T accounts, using the account titles in (1). Post the journal entries to these accounts, placing the appropriate letter to the left of each amount to identify the transactions. Determine the account balances, after all posting is complete. Accounts containing only a single entry do not need a balance. 3. Prepare an unadjusted trial balance as of August 31, 20Y7. 4. Determine the following: a. Amount of total revenue recorded in the ledger. b. Amount of total expenses recorded in the ledger. c. Amount of net income for August. 5. Determine the increase or decrease in retained earnings for August.